It's a page six story which won't get much traction except for the business journals of Germany....but BEV Bayerische Energieversorgungsgesellschaft (an energy provider in Bavaria).....is bankrupt. WIWO reports the basics to the story.
So what happened to BEV is a rather curious piece. They became an energy 'player' in 2013, with a great deal of promises. Their blend to the grid? Nuke power would be roughly 9.5-percent. Coal power would be near 35-percent. Renewable energy (solar/wind) would be 45-percent. The remainder? Natural gas.
In the first year.....the prices written into the contracts and guaranteed for a period of time were reasonable and a lot of Germans signed up with their service. Then came revisions to the pricing schemes.....over and over. Then in the past four months....came the warnings by the company that prices would go up by several hundred percent, which got consumers all 'nuts'.
What happened to BEV? It would appear that they worked hard to get people signed up, and carried energy costs in the first year or two at prices which simply didn't equate to profits, and they would eventually have to catch up.
The bigger problem now? Well.....there is speculation by some folks that all these contracts with renewable energy partners to hook their windmill operations to the BEV grid....will be 'dumped', and trigger some worries about the stability of business operations with the renewable partners. Pure speculation, but you could end up with millions invested in the windmill production side, and months of finding a new grid partner with acceptable profits for your operation.
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